The Timing Of This IPO Could Not Be Better
The FBI retrieving part of a ransomware payment made by the Continental Pipeline Company to Russian hackers is just the latest in the ongoing saga of cyberattacks. It’s almost like a soap opera where you are left hanging after each episode wondering who is going to be hit next.
That’s why SentinelOne, a late-stage security startup that helps organizations secure their data using AI and machine learning, has filed for an IPO on the New York Stock Exchange (NYSE).
An article on techcrunch.com explains why the company’s timing couldn’t be better.
In its S-1 filing, the security company revealed that for the three months ending April 30, its revenues increased by 108% year-on-year to $37.4 million and its customer base grew to 4,700, up from 2,700 a year prior. Despite growth, SentinelOne’s net losses more than doubled from $26.6 million in 2020 to $62.6 million. So it must scale up with financial support to expand its business. It is, predictably, growing with each newscast reporting another hack like Solarwinds.
“We also expect our operating expenses to increase in the future as we continue to invest for our future growth, including expanding our research and development function to drive further development of our platform, expanding our sales and marketing activities, developing the functionality to expand into adjacent markets, and reaching customers in new geographic locations,” SentinelOne wrote in its filing.
Following the Growth
SentinelOne, which was founded in 2013 and has raised a total of $696.5 million through eight rounds of funding, is looking to raise up to $100 million in its IPO, and said it’s intending to use the net proceeds to increase its visibility in the cybersecurity marketplace and for product development and other “general corporate processes.”
With Goldman Sachs, Morgan Stanly, and other underwriters you can be sure the IPO will launch into the stratosphere.
“Our mission is to keep the world running by protecting and securing the core pillars of modern infrastructure: data and the systems that store, process, and share information. This is an endless mission as attackers evolve rapidly in their quest to disrupt operations, breach data, turn profit, and inflict damage.”
With the latest hacks being revealed as a pretty much ongoing pattern of digital theft, it’s clear the better the quality of cybersecurity, the better off companies will be.
read more at techcrunch.com